On August 2, it was reported by foreign media that Huawei paid 11 billion dollars to Qualcomm in 2018. The latter is Huawei's supplier, and the ban of the U.S. Department of Commerce on Huawei is also hurting American companies. Qualcomm is a good example.

According to MarketWatch, Qualcomm recently announced its performance as of the third fiscal quarter in June this year, with revenue down 13% year on year and net profit down 34% year on year. These data do not include the $4.5 billion paid by Apple to Qualcomm, which is used to resolve all legal disputes between the two companies. Apple will obtain a six-year licensing agreement (including two-year option) and a multi-year chip agreement. Huawei was listed as an entity on May 16, while Qualcomm's normal business performance from April to June was very poor.

It is reported that although Huawei has its own Kirin SoC and Baron modems, it will indeed purchase a small number of Snapdragon modems from Qualcomm. Xiaomi and OPPO are Qualcomm's major customers in China, and their shipments in the third fiscal quarter of Qualcomm were low.

Steve Mollenkopf, CEO of Qualcomm, said: "Due to the export ban, Huawei has focused on establishing market share in the Chinese market. We have no corresponding product revenue or license revenue in the Chinese market. In addition, our customers in the Chinese market are dealing with their existing 4G inventory, and no longer focus on promoting their 4G products launched in the second half of 2019, because they will give priority to the 5G products launched in early 2020. Therefore, given this unique market dynamics, we do not expect a typical seasonal return. "

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